USEFUL INFORMATION

This section will be updated periodically providing reference information that you may find useful.

2012 Workforce Planning

-Economy - growth will continue to be weak with further decline should the Euro Zone implode

-Productivity – will continue to increase moderately

-Taxes – will increase but moderately

-Inflation – good news, moderate in the 2-3% range

-Regulatory environment – continued growth in all sectors with enforcement focused on the financial sector and not HR

-Federal Governance – no improvement before or after the elections

-Employment – weak with little focus on staffing except for critical skills

-Turnover - low

-Compensation – 2.5% salary increase budgets at best

-Continued trend toward variable (i.e. bonus) vs. fixed salary increases

-Health benefits – more good news, moderating increase in costs/premiums but higher than inflation

-Retirement – more companies will restore matching contributions

Click on the header above for updated information on 2012 salary increases and incentives and 2012 forecast.

Economic Data

The economy 2011 appears to be growing modestly. Inflation is low with commodity prices declining significantly, employment costs increased only slightly. Productivity increases and labor costs are modest and the employment market, particularly in the DC area, continues to strengthen. I suspect there will be pressure to increase wages particularly for critical skills.

For more detail, click on the header above.

I would welcome your views on the employment/salary increase prospects for 2011/12.

You may also find these three items of interest and the FLSA link useful:

A recent study by Indiana University's Kelley School of Business demonstrates that firms that promote their CEOs from within are more successful. http://info.kelley.iu.edu/news/page/normal/17975.html

A Op-Ed piece in the Wall Street Journal suggest that there is no gap in male-female pay. Article is in the A Section of the April 12, 2012 edition on the Opinion page.

The Department of Labor has consolidated the current FLSA regulations and guidance. http://www.dol.gov/whd/flsa/index.htm